AP Human Geography - Chapter 12 (Industry and Services)

containerization

The loading and shipping of containers on to ships. This has decreased the use of break-of-bulk shipping

cottage industries

Small-scale production of goods, typically by hand or with low technology in a home or small workshop

economies of scale

Increasing production of a good so that the average price of the good declines

locational criteria

resources in an area that are necessary for a business to operate there

spillover effect

growth of hinterland areas due to the industrial activity of a nearby area

hinterland

Literally, "country behind," a term that applies to a surrounding area served by an urban center. That center is the focus of goods and services produced for its hinterland and is its dominant urban influence as well. In the case of a port city, the hinterland also includes the inland area whose trade flows through that port.

connectivity

The degree of direct linkage between one particular lo- cation and other locations in a transport network.

first mover advantage

The benefit first innovators or first in a market have over late entries.

secondary hearths

An area to which an innovation diffuses and from which the innovation diffuses more boadly

globalization

The expansion of economic, political, and cultural processes to the point that they become global in scale and impact. The processes of globalization transcend state boundaries and have outcomes that vary across places and scales.

Fordist

Named after automobile producer Henry Ford, utilized the assembly line for mass consumption. Utilized vertical integration and controlled all stages of production.

vertical integration

Ownership by the same firm of a number of companies that exist along a commodity chain

friction of distance

The increase in time and cost that usually comes with increasing distance.

distance decay

The effects of distance on interaction, generally the greater the distance the less interaction.

location theory

A logical attempt to explain the locational pattern of an economic activity and the manner in which its producing areas are interrelated.

Least Cost Theory (Weber's Model)

Attempts to explain the location of manufacturing plants in terms of the owner's desire to minimize the cost of transportation, labor, and agglomeration.

Agglomeration

When a substantial number of enterprises cluster in the same area, as happens in large industrial cities, and can provide assistance to each other through shared talents, services, and facilities

flexible production

a system of industrial production characterized by a set of processes in which the components of goods are made in different places around the globe and the brought together as needed to meet consumer demand

commodification

The process through which something is given monetary value. It occurs when a good or idea that previously was not regarded as an object to be bought and sold is turned into something that has a particular price and that can be traded in a market economy.

product life cycle

The introduction, growth, maturation and decline of a product

Global Division of Labor

Phenomenon whereby corporations and others can draw from labor markets around the world, make possible by the compression of time and space through technological innovations

Time-Space Compression

Because of technological advancements, time and friction of distance does not have as much impact on the export of products and information

Just-in-Time Delivery

Method of inventory management made possible by efficient transportation and communication systems, whereby companies keep on hand just what they need for near term production, planning that what they need for longer term production will arrive when needed

spatial fix

The movement of production from one site to another based on the place-based advantages of a new site

node

Connection point in a network, where goods and ideas flow in, out, and through the network

commodity chain

Series of links connecting the many places of production and distribution and resulting in a commodity that is then ex- changed on the world market.

Outsourcing

The procuring of services or products from an outside supplier or manufacturer in order to cut costs

Intermodal Connections

Places where two or more modes of transportation meet (air, road, rail, ship, etc)

Deindustrialization

When companies move jobs to other regions with cheap labor, leaving the newly deindustrialized region to switch to a service economy and work through a period of high unemployment

newly industrializing countries

States that underwent industrialization after World War II and whose economies have grown at a rapid pace

Break-of-Bulk Point

Where cargo is transported from one mode of transportation to another (ship to truck)

Rust Belt

A region of the northeastern United States that was once characterized by industry. Now so-called because of the heavy deindustrialization of the area

Sun Belt

The southern and southwestern states, characterized by warm climate and recently, rapid population growth

high-technology corridor

Areas along or near major transportation arteries that are devoted to the research, development, and sale of high- technology products. These areas develop because of the networking and synergistic advantages of concentrating high-technology enterprises in close proximity to one another.

growth pole

when the concentration of businesses spurs economic development in the surrounding area

Technopole

Centers or nodes of high-technology research and activity around which a high technology corridor is sometimes established